USD/JPY: daily update
USD/JPY pulled down from the yesterday's high of 102.40 to 101.80. Sharp decline in GBP/JPY adds to the bearish pressure for the yen crosses. Next support for the pair lies at 101.40/30, while resistance is seen at 102.35.
Despite the short-term downside, strategists at Societe Generale are bullish for USD/JPY, but wait for a confirming break above 104.00 to go long for the pair. In their view, USD/JPY is now carefully following the US 10-year Treasury yields. Combination of higher yields with downbeat Japanese data is a "yen-unfriendly mix", they say.
Chart. H4 USD/JPY